Input tax reversal
Arvind Agarwal
(Querist) 12 June 2015
This query is : Open
My client is situated in West Bengal and makes purchases from Local, centre as well as imports. He sales the goods in the local market and stock transfers goods to his head office in other state. He is able to determine the purchases(whether purchased locally, centre or import) which is stock transferred against Form F. My question is, for Reverse Credit do I have to consider the entire stock transfer (including local, centre & import purchases) or only the local purchase is to be considered.
2. How the Reverse Credit is to be calculated in following case: -
Local Purchase: Rs 26577318 itc Rs 1328866
Central Purchase: Rs. 5102330
Import: Rs. 245870/-
Local Sale: 11767178 Output Tax: Rs. 588359
Stock Transfer (from local Purchase): Rs. 14927220
ST. (from Central Purchase): Rs. 4369134
ST (from Import): Rs. 60519/-
Total Sales: 31124051/- Output Tax: 588359
Solution to the query will be highly appreciated.
Arvind Agarwal (Adv)
Siliguri, West Bengal
